How doesn't it? Everything was handcrafted by Beth. Which games have been larger that are better looking and you're able to enter every building or structure?
Of the very top of my head, Red Dead Redemption, there was no fade of scenery, you could see every nail on every plank on every foot of siding on every building in the game, the weather, skies, the way the sun and shadowed moved, ect. There is no "but it is not an RPG!!" defense here, its a larger game, with as much content, and the graphics to boot.
Edit: I feel I need to put something here to repeat what I said earlier. It is not an insult against Bethesda - at the expense of the very best graphics on earth, they built a believable, livable, breathing world. Graphics don't sum up the game. However, they do not stand alone, there are other outstanding games out there, where graphics we're more of a focus.